The product - an addition to Foundation’s F1 core buy-to-let range – is a 3.39% five-year fix, available up to 75% LTV. It comes with a 1.5% product fee, one free standard valuation and there is no £125 application fee to pay.
Foundation believes this product will appeal to portfolio landlord clients who want to minimise their upfront costs, especially those who are looking to make changes to multiple properties within their portfolio.
Foundation’s portfolio landlord criteria also includes: no limits to portfolio size - subject to maximum borrowing of £3m with the lender; no business plans or asset and liability statements required; and a bespoke stress test for the background portfolio.
The launch of this product follows the launch earlier this month of a five-year fix remortgage product suitable for portfolio landlords, limited companies and individuals. It is available at 3.59% up to 65% LTV and 3.89% up to 75% LTV and comes with a flat fee of £2,995 with stepped ERCs from 5% down to 1%. This product also comes with Foundation’s free standard valuation and £250 cashback upon completion.
All Foundation’s products are available via its distributor network including all mortgage clubs, networks and key packagers.
Jeff Knight, Director of Marketing at Foundation Home Loans, said: “We are seeing a strong growth in demand from portfolio landlords and this new product is designed to support their activities, whether they are looking to purchase or seeking refinance. Minimising upfront costs is often a priority for such clients so with this new ‘special’ we have kept those costs purposefully low, while providing payment certainty over a five-year term. For professional landlords, and their advisers, using a lender that is immersed in the sector and understands their specific – and often complex – needs is absolutely vital. This is why we have the specialist knowledge and drive to deliver what landlords need in order to help them develop and grow their portfolios.”
